Nana Kwadwo Safo

9407217

Petrochemical Engineering

Entrepreneurship and Business Management

AUTOPARTS INTERNATIONAL

Business Concept

Vision

To become the most competent and reliable company where all customer needs are met.

Mission

To provide value to our customers’ lives and businesses by bringing affordable and high-

quality tire products and services to the market.

Values

 Acting with honesty, integrity, fairness and respect.

 Encouraging wellness and safety on the job and off the job.

 Delivering the highest quality of services.

 Caring for the environment and community.

Goals and Objectives

 Exceeding the expectations of customers and building long lasting relationships

with business partners.

  Developing a long term business strategy that regularly generates a positive return

on investment.

 Motivating and developing the best team of associates and driving an efficient

organization.

Value Proposition

Before the advent of cars, several technologies had been employed to improve

transportation, from walking over long distances to using animals such as camels and

donkeys. The advent of cars has brought about a safe and secure means of travelling by

land without encountering many problems. Since the inception of cars, its demand has

increased over the number of years and is in high demand today.

The market potential is huge for vehicles evidenced by what appears to be the unstoppable

growth of the automobile industry. Currently, the automobile industry is among the fastest

growing industries and is responsible for huge gains in the capital markets. This has led to

the market value of vehicle tires as the rubber industry is dependent on the automobile

industry and they work hand-in-hand.

The state of the economy, level of income and consumer spending habits support this

opportunity. Fashion trends and luxurious lifestyle also help promote the sales of goods.

This enterprise seeks to eliminate the trouble of changing car tires more often than not and

also reduces the risk of accidents due to poor condition of car tires.
Target Market

The main targets of this business venture are wholesale and retail dealers in automobile

tires, transport companies, private owned institutions, Government institutions, corporate

bodies and the general public.

The focus of this enterprise is to provide quality vehicle tires hence any institution or

individual who owns a vehicle is a target.

Road safety rules and regulations cause vehicle owners to replace tires within a specified

period thus causing owners to purchase more tires. The desire for quality and affordable

products influences the purchase of these products. Autoparts international provides quality

services to customers filling them with satisfaction and this makes us the preferred

company to purchase vehicle tires. We also insure our goods and provide maximum

warranty duration during which servicing of goods are done at no extra cost. We deliver

goods to customers’ location for free and we have a payment plan if the full amount is not

available.

The main competitors of this enterprise are CFAO, Danboag Enterprise and Samir

Engineering. These companies provide quality tires and serve their customers well.

Communication and Distribution Channels

Customers are informed about the companies products and services through the official

website of the enterprise on the internet, advertisement on television, mobile phone apps

such as Whatsapp, facebook, twitter and Instagram. This enables customers to conveniently

scroll through a list of products and reviews to aid in their purchasing experience.

Customers prefer to obtain information from the internet and television stations.
The business employs the self-pick-up method and the delivery methods of operations.

Customers get the chance to either come for the products themselves from the stores or they

can use the online platform and get their products delivered to them at their doorstep.

Client Relationship

Customer service is the most important aspect of business management. Good customer

service means customer satisfaction.

It is necessary to deal with customers on a personal basis to identify their preferences and

dislikes in order to improve on service quality.

It is important to promote healthy customer relationships since they are essential to the

success of the business. When organizations develop strong relationships with their

customers, it promotes loyalty and an increase in sales as they recommend the company to

others thereby increasing the market margin.

Revenue Streams

Revenue is generated from the sale of tires, delivery of tires and servicing of tires. As

compared to competitors, prices will be lower. This will enable the business attract many

customers as most people compare prices of products from different companies before

settling on the most economic and quality one.

Dynamic pricing strategies will be employed as discounts will be awarded on the purchase

of a significant number of goods. Promotions will be conducted to raise public interest in

the goods and help increase the rate at which goods are purchased. This will speed up the

rate of return while keeping customers satisfied and well served.

Pricing will be based on the brand and quality of the car tire. Profit will be at a rate of ten to

twenty percent.

Key Resources and Activities

Resources

The enterprise will support six employees among which two will be sales personnel, a

manager and two laborers and a dispatch rider. Brands of car tires to be sold will include

Michelin, Goodyear, Yokohama, Firestone Dunlop and Bridgestone. The sales personnel

will market the various distinct and appealing features of the various brands and why

customers must select those brands over the others. The laborers will be responsible for the

arrangement and removal of tires when customers arrive. The dispatch rider will transport

goods to customers. The cost of the tire will depend on the specific brand and the model of

the tire.

To start the business, 3000 cedis is required to rent a shop and 50000 cedis to stock it with

car tires summing up to 53000 cedis. 100 square meter is required for the business

operation.

Activities

Must Dos before Launch

 Initial capital and resources must be obtained.

 A suitable location must be secured for the enterprise.

 The company must be registered at the Registrar General’s office.

  Employees must be obtained a taken through the proper training before the

enterprise commences.

Must dos to get the first customer

 Social media platform and a website to advertise my services will be

created.

 Advertisement on television and radio will be done.

 During the first week of operation, a whooping discount and incentives will

be given out to attract customers to purchase from the shop.

Must dos to keep customers coming

 Treat clients well.

 Get review from customers and improve on customer service.

 Using modern technology to conduct business transactions.

 Showing appreciation to loyal customers.

Must dos to support growth

 Promote the business on different social media channels.

 Conduct training sections or workshops for employees.

 Learn from fast growing companies.

Key Stakeholders

The major stakeholders in the business are the customers, the employees and suppliers.
The most effective way to get them to happily work with you is to give them a sense of

belongingness. When employees feel that the owner of the business has their interests at

heart, they also put their effort into developing the enterprise. Make them understand the

nature of your business and engage them in decision making. Stakeholders will more likely

support a plan that they helped create. The more we understand about each stakeholder, the

more effectively you can engage them and influence them.

Communicate with stakeholders about the business and its future projections and how it

will benefit them. Seek to understand them before being understood since people want to

know that you really want to hear their perspective first.

Cost Structure

DIRECT COST

ITEM AMOUNT, GH⸿

Rent 3000

Tax 100

Equipment 2000

Product 50000

Total 55100
 INDIRECT COST

ITEM AMOUNT, GH⸿

Transportation 200

Advertisement 100

Utility 100

Salary 1800

Total 2200

The total overhead cost is GH⸿57300.